Neicheva, Maria (2007): Non-Keynesian effects of Government Spending: Some implications for the Stability and Growth Pact.
Download (208kB) | Preview
The paper focuses on the non-Keynesian effects of fiscal policy, specifically government expenditure on output in Bulgaria. The main finding of the study is that the size of the fiscal impulse is the most important determinant of the non-Keynesian outcome. Also, the results imply that the “balanced-budget rule” does not automatically assure growth; the regulations regarding the budgetary categories themselves should also be considered.
|Item Type:||MPRA Paper|
|Institution:||Burgas Free University|
|Original Title:||Non-Keynesian effects of Government Spending: Some implications for the Stability and Growth Pact|
|Keywords:||Fiscal policy; Non-Keynesian effects; balanced-budget rule; Stability and Growth Pact|
|Subjects:||E - Macroeconomics and Monetary Economics > E6 - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, Macroeconomic Policy, and General Outlook > E62 - Fiscal Policy|
|Depositing User:||Maria Neicheva|
|Date Deposited:||11. Oct 2007|
|Last Modified:||14. Feb 2013 00:51|
Afonso, A., 2001, Non-Keynesian Effects of Fiscal Policy in the EU-15, ISEG-UTL, WP 7/2001/DE/CISEP, pascal.iseg.utl.pt/~aafonso/AAWeb.html. Afonso, A., C. Nickel, P. Rotner, 2005, Fiscal Consolidations in the Central and Eastern European Countries, European Central Bank, WP 473. Alesina, A. and R. Perotti, 1996, Fiscal Adjustments in OECD Countries: Composition and Macroeconomic Effects, NBER, WP 5730. Alesina, A., and S. Ardagna, 1998, Tales of Fiscal Adjustment, Economic Policy 13, 489– 517. Alesina, A., S. Ardagna, R. Perotti and F. Schiantarelli, 2002, Fiscal Policy, Profits and Investments, American Economic Review 92, 571-589. Ardagna, S., 2004, Fiscal Stabilizations: When Do They Work and Why, European Economic Review 48, 1047-1074. Ardagna, S., 2007, Fiscal policy in a Unionized Labor Markets, Journal of Economic Dynamics and Control, 31, 1498-1534. Bertola, G. and A. Drazen, 1993, Trigger Points and Budget Cuts, American Economic Review 83, 11-26. Blanchard, O., 1990, Comment on Giavazzi and Pagano, NBER Macroeconomics Annual, MIT Press, 110-117. Blanchard, O., 1993, Suggestion for a New Set of Fiscal Indicators, in: H.Verbon and F. van Winden, eds, The Political Economy of Government Debt (North-Holland, Amsterdam) 307-325. Bouthevillain, C., P. Cour, G. van den Dool, P. de Gos, G. Langeus, M. Mohr, S. Momigliano and M. Tujula., 2001, Cylically adjusted budget balances: an alternative approach, European Central Bank, WP 77, September. Giavazzi, F. and M. Pagano, 1990, Can Severe Fiscal Contractions Be Expansionary? Tales of Two Small European Countries, NBER, WP 3372. Giavazzi, F. and M. Pagano, 1995, Non-Keynesian Effects of Fiscal Policy Changes: International Evidence and the Swedish Experience, NBER, WP5332. Giorno, C., P. Richardson, D. Roseveare, P. and van den Noord, 1995, Estimating potential output, output gaps and structural budget balances, OECD, Economic Department, WP 152. Hemming, R., M. Kell, and S. Mahfouz, 2002, The effectiveness of fiscal policy in stimulating economic activity – a review of the literature, IMF, Fiscal Affairs Department, WP/02/208. Hodrick, R. and E. Prescott, 1997, Post-war U.S. business cycles: an empirical investigation, Journal of Money, Credit and Banking 29, 1-16. Jonnson, K., 2004, Fiscal Policy Regimes and Household Consumption, Department of Economics, Lund University, WP 2004:12, http://www.nek.lu.se/publications/workpap/Papers/WP04_12.pdf. McDermott, J. and R. Wescott, 1996, An Empirical Analysis of Fiscal Adjustments, IMF, WP 59. Perotti, R., 1996, Fiscal Consolidation in Europe: Composition Matters, American Economic Review 86, 105-110. Perotti, R., 1999, Fiscal Policy in Good Times and Bad, Quarterly Journal of Economics 114, 1399-1436. Prammer, D., 2004, Expansionary Fiscal Consolidations? An Appraisal of the Literature on Non-Keynesian Effects of Fiscal Policy and a Case Study for Austria, Monetary Policy and the Economy 3, 34-52. Purfield, C., 2003, Fiscal Adjustment in Transition. Evidence from the 1990s.’, Emerging Markets Finance and Trade 39, 43-62. Ravn, M. and H. Uhlig, 2002, On adjusting the HP filter for the frequence of observations, Review of Economics and Statistics 84, 371-380. Röger, W., H. Ongena, 1998, The Commission Services’ Cyclical Adjustment Methods, Paper, presented at “Indicatiors of Structural Budget Balances” Conference, Banca D’Italia, Perugia, 26-28 November. Rzonca A. and P. Cizkowicz, 2005, Non-Keynesian Effects of Fiscal Contraction in New Member States, European Central Bank, WP 519, September. Siwinska, J. and P. Bujak, 2003, Short-Run Macroeconomic Effects of Discretionary Fiscal Policy Changes, Center for Social and Economic Research, WP 261. Sutherland, A., 1997, Fiscal crises and aggregate demand: can high public debt reverse the effects of fiscal policy, Journal of public economics LXV, 147-162. Von Hagen, J., 2004, Fiscal Policy Challenges for EU Acceding Countries, ECSA conference, Vienna, 21 February, 2004.